[Raynor]

Here is the full quote, Kuruharan:

Originally Posted by Appendix B, elvish names for the dwarves, Quendi and Eldar, HoME XI

The Eldar did not at first recognize these as Incarnates, for they seldom caught sight of them in clear light. They only became aware of their existence indeed when they attacked the Eldar by stealth at night, or if they caught them alone in wild places. The Eldar therefore thought that they were a kind of cunning two-legged animals living in caves, and they called them Levain tad-dail, or simply Tad-dail, and they hunted them. But after the Eldar had made the acquaintance of the Naugrim, the Tad-dail were recognized as a variety of Dwarves and were left alone. The great Dwarves despised the Petty-dwarves, who were (it is said) the descendants of Dwarves who had left or been driven our from the Communities, being deformed or undersized, or slothful and rebellious. But they still acknowledged their kinship and resented any injuries done to them. Indeed it was one of their grievances against the Eldar that they had hunted and slain their lesser kin, who had settled in Beleriand before the Elves came there. This grievance was set aside, when treaties were made between the Dwarves and the Sindar, in considera- tion of the plea that the Petty-dwarves had never declared themselves to the Eldar, nor presented any claims to land or habitations, but had at once attacked the newcomers in darkness and ambush. But the grievance still smouldered, as was later seen in the case of Mim, the only Petty-dwarf who played a memorable part in the Annals of Beleriand.